Management proposed the following regression model to predict sales at a fast food outlet y Icirc sup2 0 Icirc sup2 1x1 Icirc sup2 2x2 Icirc sup2 3x3 Icirc micro Where The following estimated regression equation was developed after 20 outlets were surveyed y bar 10 1 4 2x1 6 8x2 15 3x3 a What is th...

Management proposed the following regression model to predict sales at a fast-food outlet. y = Î²0 +

Question:

Management proposed the following regression model to predict sales at a fast-food outlet.
y = Î²0 + Î²1x1 + Î²2x2 + Î²3x3 + Îµ
Where

The following estimated regression equation was developed after 20 outlets were surveyed.
y-bar = 10.1 €“ 4.2x1 + 6.8x2 + 15.3x3
a. What is the expected amount of sales attributable to the drive-up window?
b. Predict sales for a store with two competitors, a population of 8000 within one mile, and no drive-up window.
c. Predict sales for a store with one competitor, a population of 3000 within one mile, and a drive-up window.